[Gabe2004]

Originally Posted by diablo272 »

Can someone explain the contract months to me for GC? It seems that right now the front month is the Dec'09 contract, but I've been trying to view some historical charts (Zenfire doesn't have a continuous contract so I have to view historical data for each individual contract month), and I can't figure out which contracts would go with which months' data. For example, looking at data from 8/20/2009 to 8/30/2009, I thought that I would be using the 08/2009 GC contract, but that didn't look right, so I tried the 09/2009...still not right, tried the 10/2009, still not right, until finally I came to the 12/2009 contract, and that looks right. So at the end of August the 12/2009 contract was the front month??? I really wish every CME contract could just follow the 3/6/9/12 schedule of the index e-minis.

Maybe this would help.
Ensign Software - Charts: Rollover Schedule

Gabe

[brownsfan019]

Originally Posted by diablo272 »

Thanks BF. After messing around with my historical data a bit more, I think I have a slightly better grasp of it. In your example though, would GCL be the oil contract in OEC? I'm talking about GC, the gold contract (I think it would be GGC in OEC).

Sorry - yep, GGC is gold in OEC's charts.

[Dinerotrader]

Okay. We are now at the low end of the channel which has served up some great trades so far. Price chopped around the bottom of the range for the end of the day which is suspect in my eyes. In the past, it reversed quite quickly from that area. The most likely scenario would be a break to the upside tomorrow but we could finally break out of the trading channel. The biggest problem is that volume might be lower tomorrow due to the holidays. I can't imagine oil just sitting around between 75.5 and 76.5 but who knows.



Here is a closer look at some levels I will be watching.



Inventory comes out tomorrow at 10:30 I believe with quite a few more numbers before that. I forgot about oil inventory last week and I was in a SIM trade at the time. It was like a friggin' candlestick firework show. Glad I learned that lesson on SIM.

[brownsfan019]

Originally Posted by Dinerotrader »

Inventory comes out tomorrow at 10:30 I believe with quite a few more numbers before that. I forgot about oil inventory last week and I was in a SIM trade at the time. It was like a friggin' candlestick firework show. Glad I learned that lesson on SIM.

I promise that if you do that 1 time w/ real money on the line you will never, ever do it again. I just hope it doesn't take that for you to remember that Wed is inventory day on oil (most weeks). I use gmail calendar and have certain things programmed in their every week and I get a reminder box pop up to remind me - one of them is oil inventory.

[Dinerotrader]

Just so there is a specific example of this inventory craziness here on this thread I took a couple pics of the before and after the inventory comes out. I am going to watch the DOM more often just before this release because on this one it seemed obvious that everyone was betting heavily on a great upward move which made some people a lot of money. Have you looked into this BF?



Here is the DOM right before it.

[brownsfan019]

Originally Posted by Dinerotrader »

Just so there is a specific example of this inventory craziness here on this thread I took a couple pics of the before and after the inventory comes out. I am going to watch the DOM more often just before this release because on this one it seemed obvious that everyone was betting heavily on a great upward move which made some people a lot of money. Have you looked into this BF?

As far as I am concerned, the DOM is useless to trade from. I pointed you to that other thread I made on this very topic and my opinion has not changed.

I personally could not get any value from using the DOM to trade from. That means squat to others that can use it. If you can make it work, then more power to you. I just found it a giant game being played back and forth so now I ignore it.

[brownsfan019]

I wanted to give a little bump to this thread to point out why the oil market should be on your list of markets to consider trading. If you've followed me in the p/l thread at all, you've seen my profitability jump quite a bit lately and it's all b/c of this market.

Here's a sampling of some of the moves on Monday, Dec 7th.




From extreme-to-extreme, there's about 323 ticks x $10 = $3230.

Will you nail every high and low? Of course not. But what is important IMO is to trade markets where the high-to-low range offers you opportunities inside of that to make money. If you trade a market that is moving and providing 323 ticks worth of movements, you only need to capture a % of that to have a good day trading. When a market is providing such nice ranges to trade from, you don't have to time your entry or exit perfectly to make money.

If you find yourself staring at a market wondering if there's something better out there, take a look at oil and see what you think.

[Dinerotrader]

That seems like a lot of hammers at support. We'll see what happens.